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Royal Caribbean Slashes Commissions
For Agents, Following Carnival's Lead

a Wall Street Journal Staff Reporter

Updated Sept. 6, 2001 12:01 a.m. ET

MIAMI -- Royal Caribbean Cruises Ltd., following the lead of rival Carnival Corp., said it would cut in half the commissions to travel agents on the airfare portion of cruise bookings to 5% from 10%.

The No. 2 cruise operator said it could no longer afford to pay air-travel commissions higher than those paid by the airlines, which in recent years have angered travel agents by capping commissions. The reduction takes effect Sept. 15 on the company's Royal Caribbean International and Celebrity Cruises brands, and won't affect...